Lesson 1.1.1a

1.1.1a Changing technology, changing consumer wants and obsolescence Quiz: Pearson Edexcel Business, Unit 1

20 questions

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Lesson 1.1.1a, Changing technology, changing consumer wants and obsolescence: 20 multiple choice questions for the Pearson Edexcel GCSE Business (1BS0), Unit 1: Enterprise and entrepreneurship, written with Revision Ninja.

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The 20 questions

  1. Which of these is an example of a change in technology that could create a new business opportunity?

    • A restaurant closing on Monday evenings during the quietest winter weeks
    • A council reducing the number of bins collected from homes each month
    • Online video streaming allowing films to be watched on demand at home
    • A supermarket changing the colour of its checkout belts to bright blue
  2. What does it mean if a product has become obsolete?

    • It is no longer wanted or used because something newer has replaced it
    • It is sold at a discount to clear old stock quickly before the end of the season
    • It is advertised heavily to attract new customers in an unfamiliar overseas market
    • It is made in a factory that has recently been moved to a different country
  3. A bakery notices that more customers are asking for gluten-free bread. What type of change does this show?

    • A change in the market price of wheat flour
    • A change in the law on food labelling in shops
    • A change in technology used in the bakery's ovens
    • A change in what consumers want
  4. Which example best shows a new business idea arising from changing consumer wants?

    • A café buying a new espresso machine to speed up its lunchtime service
    • A café raising its prices because the cost of its coffee beans has increased
    • A café opening a gluten-free menu after many customers asked for one
    • A café moving to a larger site so it can fit in more tables for customers
  5. Which description best fits a product that is still sold but has been replaced by a newer, better version?

    • A dynamic market where prices change very frequently over the course of the year
    • An adapted idea taken from a different market and changed for local use
    • An original idea that no other business has yet tried in the market
    • An obsolete product that is becoming less wanted because of newer versions
  6. A company that makes paper maps sees sales fall as people use satellite navigation on phones. What is the main cause?

    • Rents for shop units in the high street have risen faster than general inflation
    • Changes in technology have made the original product less wanted by customers
    • Local councils have increased the business rates paid by all shops in town
    • Staff have demanded higher wages and better working conditions at the firm
  7. A toy firm's sales fall as tablets replace traditional board games for many families. What should the firm consider first?

    • Ignoring the change because board games have always been popular with families
    • Raising its prices to make up for lost sales across every product it makes
    • Looking for new products that meet the changed wants of its customers
    • Closing all its shops immediately without considering any alternatives first
  8. Which of these is most likely to become obsolete because of changes in technology?

    • Cassette players, once replaced by digital music played on phones
    • Wooden kitchen tables sold in flat-pack form in large furniture stores
    • Bicycles with traditional steel frames sold by local cycle shops
    • Hand-knitted woollen scarves sold at a village craft fair each autumn
  9. Why can a business benefit from spotting that one of its products is becoming obsolete?

    • It can plan a replacement or updated range before its sales fall sharply
    • It can ask suppliers to make more of the old product at a lower unit cost
    • It can raise the price of the old product before customers notice it is outdated
    • It can use the old product as a loss leader to attract customers each week
  10. A company decides to make all its adverts online because most customers now use smartphones. Which change is driving this decision?

    • A change in the company's pricing policy for its range
    • A change in the level of competition from rival adverts
    • A change in technology
    • A change in the interest rate set by the central bank
  11. Which of these is the best example of a business responding to changes in technology?

    • A hotel reducing its prices during the quietest weeks of the year
    • A hotel painting its reception area a lighter shade of cream
    • A hotel asking staff to wear smart black uniforms for guests
    • A hotel adding an online booking system so guests can reserve rooms from home
  12. What does the phrase 'dynamic nature of business' refer to?

    • The way business environments keep changing over time
    • The speed at which a company can move its office to a new site
    • The amount of money a firm spends on advertising in a single year
    • The number of hours that a shop is open for trade each week
  13. A bookshop is losing customers because many readers now buy e-books. What is the best first step for the owner?

    • Stop stocking any books and close the shop straight away
    • Research which products customers now want and consider new services
    • Increase the price of all printed books in the shop immediately
    • Wait a few years to see whether customers return to printed books
  14. Which of these is an example of a product that has become obsolete because of changing consumer tastes?

    • Fresh bread sold in the local bakery every single morning
    • Umbrellas sold in the shop during the rainy autumn months
    • Electric kettles that heat water quickly for busy households
    • Flared trousers that most shoppers no longer want to buy
  15. What is the main effect of obsolescence on a business that depends on one old product?

    • Its sales are likely to fall as customers move to newer alternatives
    • Its workforce is likely to grow to meet demand for the old product
    • Its sales are likely to rise as the old product becomes rare and valuable
    • Its tax bill is likely to fall because fewer products are being sold
  16. A business sells video cameras and notices that phones now take high-quality photos. Which action best responds to this change?

    • Adding camera features to phone accessories and software to serve the new demand
    • Ignoring phones because the business has always sold cameras successfully
    • Stopping all research into customer needs to save money on surveys
    • Cutting every price by half to force competitors out of the market quickly
  17. Why might a fast-changing market make it harder for a business to plan ahead?

    • Suppliers never deliver goods on time, so businesses cannot predict stock levels
    • Customers always buy the same products each year, so forecasts are rarely needed
    • Governments never change laws, so businesses have too little information to plan
    • Customer wants and technology can change quickly, so forecasts may become inaccurate
  18. A firm uses an old-fashioned fax machine to take orders. Which change makes this method less useful?

    • Changes in technology allowing orders to be placed by email or online
    • Changes in the price of paper used by all printers and offices
    • Changes in the colour of the office walls and the furniture
    • Changes in the number of staff working in the sales department
  19. Which statement best explains why a business may need to adapt to changing consumer wants?

    • Consumers always want the same product, so the business can ignore change
    • Consumers only buy from businesses that have been trading for over a century
    • Consumers are unaffected by changes in technology when choosing what to buy
    • Consumers who no longer want a product will stop buying it, so sales fall
  20. A company launches a 'smart' kettle connected to the internet. Which two factors are most likely behind this decision?

    • Changes in staff holidays and changes in the size of the car park
    • Changes in local weather and changes in the number of schools nearby
    • Changes in technology and changes in what consumers want
    • Changes in government spending and changes in the price of gold

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